Eagerly awaited meeting in Vienna
The wait will soon be over: the annual meeting of the Organization of Petroleum Exporting Countries (OPEC) will be held on Wednesday in Vienna. An announcement regarding a deal to reduce output by a million barrels a day could send West Texas Intermediate prices up above the $40 to $50 per barrel range. OPEC will no doubt seek the input of non-member countries, including most notably Russia.
The Canadian dollar was able to limit its losses against its U.S. counterpart last week further to developments related to the energy market. However, the lack of a viable agreement in Vienna could have negative repercussions for the loonie. Moreover, the gap in yields between Canada and the United States is widening and could lead to a weaker CAD.
There is little in the way of economic indicators this morning, however the pace will pick up on Wednesday when Canadian Q3 Gross Domestic Product numbers are announced. Our attention will then shift to Friday’s release of job creation data on both sides of the border.
